Beyond the Game: NIL Opportunities and Legal Insights for Student-Athletes and Businesses

March 31, 2025 - Ashley Long
With March Madness in full swing, the spotlight isn’t only on thrilling buzzer-beaters or underdog victories; it’s also on the continued evolution of Name, Image and Likeness (NIL) rights. Since the NCAA's landmark policy shift in 2021, student-athletes can now profit from their personal brands. This is exciting. However, these new opportunities come with the need for smart strategy, compliance and legal insight.

NIL refers to the right of student-athletes to receive compensation for the commercial use of their identity through endorsements, sponsorships, appearances, merchandise and more. Previously, NCAA rules prohibited student-athletes from profiting, but now those restrictions have been lifted, opening doors for athletes across all levels of college sports.

High-profile athletes like Duke’s Cooper Flagg (with an estimated NIL valuation of $4.8 million) and UConn’s Paige Bueckers (estimated at $1.4 million) are signing major endorsement deals with brands like New Balance and Gatorade. But NIL isn’t limited to endorsement deals, as many student-athletes are also building their brands through autograph signings, youth camps, social media promotions and Non-Fungible Tokens (NFTs). NIL has become so accessible that even a student team manager from McNeese State University has landed multiple NIL deals, proving that personality, creativity and community engagement can be just as valuable as playing time when it comes to building a brand.

For businesses, especially during media-heavy seasons like March Madness, NIL partnerships offer a unique opportunity to connect with highly engaged audiences. Student-athletes often attract loyal followings and regional influence, making them ideal partners for both national brands and small businesses.

While top-tier deals can reach six or seven figures, local businesses can create impactful campaigns for much less. For example, a coffee shop could sponsor a player for a few Instagram posts or a meet-and-greet event. Restaurants, gyms and boutiques are also finding creative ways to work with Division II and III athletes by offering meals, memberships or merchandise in exchange for promotion.

As promising as NIL opportunities are, they come with legal responsibilities. Student-athletes must navigate NCAA rules and evolving state laws. South Carolina’s updated NIL law (effective May 2024), for instance, allows athletes to profit but includes specific restrictions:

  • No use of school logos or trademarks in deals
  • Mandatory 10-day notification to the school before signing any agreement
  • Prohibitions on endorsing alcohol, tobacco, gambling, or adult entertainment
  • Compensation must not be based on athletic performance
Meanwhile, the recent House v. NCAA settlement is set to significantly reshape college sports by introducing new guidelines around revenue sharing and roster management, which will add another layer of complexity to an already evolving NIL environment.  

As March Madness unfolds, NIL continues to redefine the student-athlete experience and how businesses engage with collegiate talent. Whether you're a student-athlete searching for your first sponsorship offer or a company seeking to partner with a rising star, legal due diligence is essential. Every contract should be reviewed with a close eye on intellectual property rights, exclusivity clauses and long-term obligations. Taking the time to understand these elements not only protects both parties but also helps avoid costly mistakes. Understanding these dynamics is crucial to winning in this new era of college sports.

For questions or more information on this topic, please contact Ashley Long.